Global Standards for the world economy

Monday 01 March 2021

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Investor Centre

We need your views

The IASB sets Standards for you, the investor. But we can’t do this in isolation. We need your help in understanding if potential changes to the Standards will provide you with the information you need to analyse and ultimately support your investment decisions.

You do not have to be an accountant to speak to us.  It is the insight that you offer as one who uses financial information to make investment decisions that is important to us.

The following are the current topics/projects on which we are seeking your views.  Some apply to all companies while others are industry-specific.  


Project Description
Conceptual Framework The Conceptual Framework for Financial Reporting underpins IFRS and helps the IASB to develop Standards that are based on consistent concepts. The May 2015 Exposure Draft includes proposals to: (a) give greater prominence to the need for information to assess management’s stewardship; (b) reintroduce an explicit reference to the notion of prudence; (c) provide guidance on the measurement of assets and liabilities; and (d) provide guidance on when income or expenses should be reported in profit or loss or Other Comprehensive Income (OCI). The comment letter deadline has been extended to November 2015. We continue to seek feedback on these proposals.
Deferral of IFRS 9 and interaction with insurance The IASB recently spoke to investors about the different effective dates of IFRS 9 Financial Instruments and the new insurance contracts Standard, including the need and ways to mitigate the consequences of different effective dates. A summary of investor observations was presented to the IASB in September 2015. In November 2015 the IASB intends to issue an Exposure Draft of proposed amendments to IFRS 4 Insurance Contracts. We will seek additional investor feedback at that time.
Equity method of accounting The IASB is considering a project that aims to simplify the equity method of accounting for investments in associates and joint ventures. As part of this we would like to understand what information is used when reviewing such investments.
Income taxes The IASB has been speaking to investors about the usefulness and sufficiency of the tax information provided in financial statements today, and how that information is used when making decisions.

We continue to seek investor input via the survey on the use of tax information to help provide direction on how we should then proceed.
Materiality How the concept of materiality is applied in practice is seen by many as a major cause of the 'disclosure problem'. Not making appropriate materiality judgements can result in both the disclosure of too much irrelevant (ie immaterial) information and not enough relevant (ie material) information. The IASB will issue an Exposure Draft of a Practice Statement on materiality in October 2015 on which we will seek investors’ views.
Measuring quoted investments in subsidiaries, joint ventures and associates at fair value The IASB is currently redeliberating its proposals that aim to clarify how an entity should measure the fair value of investments in subsidiaries, joint ventures and associates that are quoted in an active market. The IASB is proposing that this fair value should be the product of the quoted price for the individual financial instrument that makes up the investments held by the entity (P) and the quantity of financial instruments (Q), ie P × Q. We are again reaching out to the investment community to further understand the relevance of this information for their work.
Structure and Effectiveness Review In July 2015 the Trustees of the IFRS Foundation published a Request for Views that includes questions about the relevance of IFRS, what can be done to ensure consistent global application of IFRS, the role of technology in our work and the scope of IFRS. Comments are requested by the end of November 2015. The online investor survey on the Agenda Consultation also includes questions on specific areas of this review.


For more background on our work and how we go about setting standards, please consult the following: